Rental Desirability in Pittsburgh

[gordoncr]

I think there are different business models for different markets.

There is a vastly underserved market for affordable housing. Purchasing property "right" i.e. purchase price, location, layout, etc, doing whatever rehab is needed, and then doing a rent-to-own style agreement is something that will continue to work.

Straight rehab (flip) of course will continue to work.

Nice rentals priced below the median price (so say under 1400, I don't know off hand what the exact median is) will still work.

I Heart South Hills Home Buyers

[selltheburgh]

Originally Posted by chao

ah, i was thinking the opposite when you said cash on cash, then it makes complete sense, i personally would use mortgage every time i could instead of pay full amount with cash, however, the downside is there's 10 mortgage limited, after that it becomes commercial.

There's nothing wrong with commercial lending if you have a good relationship with your banker. In fact, there's a lot more flexibility with the property condition and getting construction money. Plus the ability to do cash out refinances.

[chao]

Originally Posted by selltheburgh

There's nothing wrong with commercial lending if you have a good relationship with your banker. In fact, there's a lot more flexibility with the property condition and getting construction money. Plus the ability to do cash out refinances.

I guess I am just not comfortable about it since I don't know much about commercial loan, I'll look into it more once I am close to 10 mortgages.